
The Indian Paint Association IPA has urged Defence Minister Pranab Mukherjee to set up a task force to evaluate and redefine the department8217;s purchase from the industry.
On the occasion of its 42nd Annual General Meeting AGM, IPA made a presentation to the defence officials, highlighting the need for the sector to upgrade the specifications of its paint purchases. The industry contention is that the defence sector largely confines itself to buying paints based on old technology, while the industry itself has moved onto better technology 8212; especially in terms of industrial coating.
Though at 25 lakh litres, the defence8217; annual consumption of paint is a miniscule part of the industry8217;s sales of seven lakh tonnes 7,000 lakh litres, the industry is keen to see the value of its sales to the sector go up.
Currently the industry8217;s sales to defence fetches about Rs 70-80 crore.
But clearly once the defence sector moves to higher technology, it would mean value-added products with higher price tags. This, however, will not narrow the business to the bigger brands as the technologies are not accessible to the small players, Subir Bose, Managing Director, Berger Paints India Ltd, said.